Punjab ministers to pay their income tax from this month

Tribune News Service

Chandigarh, March 19

Faced with a severe financial crunch, the Punjab Cabinet, at a meeting chaired by Chief Minister Capt Amarinder Singh, on Monday cleared decks for state Cabinet members to pay their income tax, beginning March this year.

While the Leader of Opposition, who enjoys Cabinet rank, will also come under the ambit of the new provision, other MLAs have been spared, for now.

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Punjab is the only state in the country to follow the system of the government paying taxes for all ministers and MLAs. The state pays Rs 11.08 crore on account of their income tax. While around Rs 10.72 crore goes towards payment of MLAs’ income tax, the remaining amount is for the ministers.

The draft amendment Bills for relevant changes to The East Punjab Ministers’ Salaries Act-1947 and The Salaries and Allowances of Deputy Ministers Punjab Act-1956 will be tabled in the Budget Session of the Vidhan Sabha, which commences on Tuesday. The Cabinet decided to omit Section 2-C of The East Punjab Ministers’ Salaries Act-1947 and Section 7-A of The Salaries and Allowances of Deputy Ministers Punjab Act-1956 to facilitate the change.

At present, payment of income tax of the CM, Cabinet and state ministers and deputy ministers is made from the state exchequer.